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This article is for educational purposes and does not constitute legal or tax advice. For specific advice applicable to your business, please contact a professional.
Subscription services are not new, but they are not traditionally associated with restaurants. However, data from Statista shows food and beverage subscriptions have the highest customer lifetime value in the retail subscription category, with groceries and meal kits being the most popular items. This highlights a significant opportunity for food and beverage businesses.
A restaurant subscription service offers customers consistent value while fostering a deeper relationship with your brand. Unlike one-time transactions, subscription models create ongoing interactions with your customers, ensuring they remain connected to your restaurant.
With the rise of the subscription business model, many restaurants are betting that customers will be happy to pay for various types of subscriptions from their favorite restaurants. Chains like Panera have tested this, reporting that subscription members account for 25% of the chain’s transactions. Additionally, in the Square Future of Restaurants report, 70% of the restaurant owners and managers surveyed said subscriptions could drive a very large or moderate return on investment.
Whether you’re looking to build customer loyalty, generate recurring revenue, or provide convenience, offering a restaurant subscription service could be the key to sustainable growth. If you’re considering a subscription service for your restaurant, we’ve compiled some of the best ideas to inspire you, along with tips on how to make it work.
First, let’s take a look at the restaurant subscription model and the approaches you can explore.
How does the restaurant subscription model work?
Subscriptions can help you build deeper relationships with regulars while ensuring a steady income stream. In the subscription business model, customers pay a recurring price at regular intervals to access a product or service, ranging from curated meal plans and unlimited beverages to take-home meal kits or exclusive dining experiences. Customers subscribe and pay a recurring fee — whether weekly, monthly, or annually — creating a predictable revenue stream for the restaurant.
Subscriptions usually come in three forms:
- Curation: In this model, you create a curated collection of items intended to delight and surprise subscribers. This is the most popular model, and a good example is a snack or meal subscription.
- Replenishment: In this model, you deliver consumable household items regularly. A coffee subscription box is a great example.
- Access: Here, customers pay a recurring fee to access a premium offering or service on a regular basis. For example, you can form an exclusive tasting club that customers pay to join.
Once you’re familiar with the business model and approaches, it’s easier to identify ideas that may work for your business.
8 restaurant subscription ideas to try
Here are vertical-based ideas to inspire your subscription service.
Quick-service restaurant subscription ideas
- Coffee (or beverage) subscription
You can deliver a specific type of beverage or combination of beverages to customers for a monthly fee. For example, a coffee subscription can include a variety of coffees and roasts so customers can experience a different flavor every month. Other beverages you can try are tea, smoothies, fruit juices, and soda. Panera’s Unlimited Sip Club is a great example — customers get unlimited lemonades, coffees, teas, and soda. - Snack box subscription
Snack boxes can include anything from chips and chocolate to healthy snacks like fruit or protein bars. You can package the snacks in reusable boxes so customers can store their treats between deliveries. The more creative you can get with box items, the better.
Fast-casual restaurant subscription ideas
- Takeout meal subscription
Takeout meal subscriptions are popular for people who don’t have time to cook or just want to add some fun to regular meals. You can create a subscription service that allows customers to pick up a curated takeout meal box on a regular basis. For example, Gado Gado experimented with a takeout subscription where subscribers pick up a mystery meal at the restaurant every Sunday for a month. - Meal box subscription
A meal box subscription service delivers pre-portioned meals to the customer’s doorstep. Customers love meal boxes because they get healthy and nutritious meals and save time and money. There are many different types of meal box subscriptions you can consider. For example, you can offer vegan, gluten-free, or paleo options.
Full-service restaurant subscription ideas
- Tasting club
Food-tasting clubs are a great way for your customers to explore new foods and meet new people who have similar interests. The idea is that customers sign up for a food-tasting club and then get invited to events where they can sample different dishes. A tasting club could work well if your restaurant is into experimental dishes so you can try out recipes, cooking methods, or cuisines. - Cooking classes
Similar to tasting clubs, you can create an exclusive membership where regulars sign up to participate in online or offline cooking classes. Cooking classes work particularly well if your signature meals are popular or you have experienced chefs willing to share their recipes. - Dine-in subscription
Subscriptions aren’t just limited to takeout and delivery. You can also create a dine-in subscription for regular diners. For example, El Lopo, a San Francisco tapas spot, created a dine-in subscription club where members receive $100 in credits for $89 a month. Members are served meals based on their personalized sign-up selections whenever theydine at the restaurant, so they don’t need to pick items from a menu or pay onsite. - Alcohol subscription service
If you brew beer or sell wine and other types of liquor, your restaurant may benefit from an alcohol subscription service. For example, BJ’s Restaurant & Brewhouse offers a beer club subscription that gives customers access to exclusively brewed beer, unlimited beer upgrades, takeout and dine-in perks, plus other loyalty rewards — all for $30 every two months. Keep in mind that you may need an appropriate liquor license or other relevant license required in your geographic area in order to sell alcohol subscriptions.
Tips for creating a subscription service for your restaurant
Do your research
Conduct market research to understand customer demographics, preferences, and pain points. Are they busy professionals seeking convenience, families looking for meal solutions, or food enthusiasts craving exclusive dining experiences? Check existing business data through tools like Square Dashboard to identify what customers already love. Then, tailor your subscription offerings to meet these specific needs. Using a competitor analysis template is a useful way to compile and analyze all the data you’ve collected to make an informed decision.
Create a compelling offering
Clearly outline what your subscription service includes. For instance, will it provide unlimited coffee refills, weekly meal deliveries, or exclusive access to tasting events? Ensure that your subscription provides value and unique benefits compared to one-time purchases. Consider introducing tiered subscription plans to cater to different budgets and levels of engagement. For example, a basic plan might offer a set number of meals, while a premium plan could include delivery, exclusive menu items, and discounts.
Leverage technology for easier management
Managing subscriptions manually can quickly become overwhelming and error-prone, especially as your subscriber base grows. Specialized subscription management software can help streamline the process. With Square Subscriptions, you can customize your billing models, generate checkout links, and update subscription plans so you can easily test or implement ideas.
Use technology to further streamline how you collect and manage customer data. For example, with tools like Square Loyalty and Square Customer Directory, you can track important customer details across online and in-store channels. Ensure your website or app is user-friendly, making it easy for customers to subscribe, update their preferences, or cancel their subscriptions.
Request feedback
Customers can churn if the subscription does not meet their expectations. Encourage customers to give honest feedback about the service and make changes accordingly.
Track key metrics like subscriber growth, churn rate, and customer satisfaction to gauge the success of your subscription service. Use this data to refine your offerings, address any shortcomings, and introduce new features or tiers based on customer feedback.
Grow your restaurant with a subscription service
The restaurant subscription model is an opportunity to deepen connections with your customers while securing recurring revenue for your business. From meal subscriptions to exclusive dining clubs, there are countless ways to create value for your patrons and set your restaurant apart.
By experimenting with these subscription ideas and adapting them to your restaurant’s unique strengths, you can build a sustainable, engaging, and profitable subscription service that keeps your customers coming back for more.